Drayage · July 9, 2026

Cargo insurance for drayage, explained

The port move is short — but it's not risk-free. Here's the difference between being covered and being covered enough.

Drayage is a short leg — terminal to warehouse and back. But short doesn't mean safe: containers get damaged, freight shifts, and things happen on tight terminal roads. If something goes wrong, "are we insured?" is the wrong time to learn the difference between carrier liability and real cargo insurance.

Carrier legal liability isn't full coverage

Every legitimate motor carrier carries liability insurance. But carrier legal liability only pays when the carrier is legally at fault, and it's often capped at a per-pound or per-shipment amount that has nothing to do with what your goods are actually worth. A container of electronics damaged in a no-fault incident can leave you far short.

All-risk cargo insurance

All-risk (or shipper's-interest) cargo insurance covers the value of the goods themselves, generally regardless of fault, up to the amount you declare. For high-value or hard-to-replace freight, that's the gap-filler between the carrier's limited liability and your actual exposure. It's usually inexpensive relative to the value it protects.

What to check

How we approach it

We run properly insured, asset-based drayage and we're straight with customers about what our liability does and doesn't cover, so you can decide whether to add cargo insurance for a given load. High-value box, sensitive freight, tight timeline — those are the ones worth the extra coverage, and we'll tell you when we think a load is one of them.

Cargo insurance FAQ

Does a drayage carrier's insurance cover the full value of my cargo?

Not necessarily. Carrier legal liability only pays when the carrier is at fault and is often capped per pound or per shipment — which can be far below your goods' actual value. All-risk cargo insurance covers the declared value regardless of fault.

What is the difference between carrier liability and cargo insurance?

Carrier liability is the carrier's limited, fault-based coverage. Cargo (all-risk) insurance protects the value of the goods themselves up to the amount you declare, generally regardless of fault.

Do I need cargo insurance for a short drayage move?

For ordinary freight, carrier liability may be enough; for high-value or hard-to-replace goods it usually isn't. The port leg is short but not risk-free, so it's worth checking your exposure.

Is the drayage leg covered by my cargo insurance?

Confirm it — some policies exclude or limit certain legs, yard storage or transloading. Make sure the drayage and any handling are included.

Ask us about coverage on your load →